All Forum Posts by: Randy Klafehn

@Nuo Shi Never buy on a dream. The numbers make sense on a spreadsheet then go for it. Keep in mind local rental laws for the city your looking in. Month to month in SF is no different than a life time lease with a small annual increase based on CPI. Are the tenants protected? Also keep in mind that if its in an outlying area, soon a rental prices go down in the city, People will move to the city and your rents will go down dramatically.

Put all your numbers into excel and put several scenarios togeather to create a risk profile. Look up rental prices changes from 2008,9 etc to help with your build your worst case scenario. Say one -10%, -5%, flat, + 1,2,3,4%. Go in eye wide open if the numbers work then your Golden. If there’s a downturn your not in a panic. Talk to a CPA or someone who is impartial to crunch the numbers.

@Brett Goldsmith I had looked into those options way back when. However it wasn’t a viable solution.  Ill happily take a good cpa recommendation. :-) 

@Remone Randolph. It’s really simple, do what’s right. As a long term renter and landlord living in NYC. We have had to break leases due to job relocations. Have them find a replacement tenant. Tell them the qualifications are, they post on CL, Zillow, etc. Then send you the applications. In return they get the deposit back and you don’t have any work to do. It’s a win win for everyone.

I might ask them to send a copy of the the contract or something to prove they are actually purchasing a new home.

As far as why they just signed a lease a few months ago. Ask them, Ill bet they have been planning to purchase something in the next year or two then the interest rates are so low even with PMI your still a head.

To anyone in this forum - Never lose sight that people’s life situations change always do the right thing for both sides. Work with tenets as people. As long as they are being honest trying to do the right thing everyone will win.

I purchased a home back in 2004 and it became a rental about 10 years ago. Uanfortonally, it has been underwater for the last 8 years, now that is finally breaking even it's the right to sell it. I live in New Jersey and plan to buy 2 single or multi income properties in the next year (not in California). 

At this point I would like to start a long term relationship with a CPA or Tax prepairer. I had one in 2013 this is retired that setup everything and have been doing it myself. Nothing substantial has changed over the years. 

1) Due to depreciation and loss carryovers do I need a CPA base in California?

2) Do I need a CPA or is a Tax pre-preparer that deal with real-estate good enough. 

Any advice would be appreciated.

Randy

Randy